Industry Edge - Financial

Industry Edge Financial Services Edition

Feature story: CEB TowerGroup and HP on 9 trends shaping the industry balance sheet

The power of cloud-based services

How to create premium product/card services on demand

HP Enterprise Services /// Issue 003 /// Spring 2012

By Bruce Pearce

Mine the era of opportunity for future efficiencies

Faced with an uncertain and ever-changing

economic environment, the financial services

industry is streamlining systems and

processes, automating wherever possible,

realigning risk profiles and compliance

standards and procedures, and trying to

innovate to become more attractive to

customers and more competitive in the

market. The financial institutions that can

best balance these challenges and execute

flawlessly will reap dividends for years to

come, exceeding customer expectations,

delivering products and services better and

faster than their competitors, and positioning

themselves strategically for long-term financial

viability and customer loyalty.

Flip through this issue of “Industry Edge”

to discover important steps that you can

take to better position your organization for

change. Read about CEB TowerGroup’s top

nine financial services trends of 2012. Find out

what measures you can take to trim costs now

while building a more agile organization for

the future. Learn how to design offerings that

satisfy across generations. And gain insight

into ways to replace the information silos of

yesterday with the powerful information-

sharing technologies of tomorrow.

Bruce PearceVice President and General Manager HP Enterprise Services, Canada

In t

his

issu

e 4 CEB TowerGroup and HP weigh in

on 9 trends that could rewrite the

balance sheet

12 Bank on the power of

cloud-based services

16 Accommodating the Millennials

20 Deliver customer delight

24 Gain capital by providing

premium product/card services

32 Why enterprise IT is priceless

38 Elevate the experience for insurance

customers with innovative strategies

42 How shareholders are changing

the conversation around IT

44 High-tech financial services get back

to the basics

50 UniCredit and HP to optimize

payroll production and human

resources processes

51 In the world of consumer payments,

cash is being usurped

52 How to create applications that keep

pace with the consumerization of IT

54 Why HP?

Turn the page for a look into

the inner workings of the

global financial industry.

http://vmxserver.burnsmarketing.com/temp/wwwpub/hp/hp_ezine/Hp%20whiteboard%20V6.mp4

Feat

ure

5.Industry Edge Financial Services Edition

By Rodney Nelsestuen and Ross Feldman

Today’s market conditions and newly imposed industry regulations have dealt the financial services community challenges they haven’t experienced in years. Financial institutions are now making strategic, operational, and technical modifications to comply with stricter regulations, mitigate emerging and ongoing risks, and move their businesses forward. To ensure a financially healthy future, banks and other financial

institutions have to deliver an improved customer experience and accommodate a growing list of regulatory changes – all in the most cost-effective ways possible.

Collectively, the top nine industry trends

of 2012 have the potential to improve the

overall health and efficiencies of financial

institutions, while enabling them to adhere to

rules such as those requiring more disclosure

and increased capital reserves. In addition,

the trends point to a focus on innovating,

improving the quality of products and

services, and delighting customers.

CEB TowerGroup and HPweigh in on 9 trends that could rewrite the balance sheet

6. Industry Edge Financial Services Edition

1. Reduce operational costs

Recent regulatory acts and amendments

such as the Durbin Amendment have had

dramatic impact on the current and future

revenues of banks. The debit business alone

has been estimated to be as much as $12 to

$16 billion, according to market projections1

(estimates vary among industry analysts,

payment networks, and banks). This has had

a spiraling effect across enterprises, resulting

in reductions of staff, product development

and innovation budgets, and in some cases,

customer services and perks.

To manage these new budget realities, banks

have had to find ways to recoup revenue

losses, reduce operational expenses, and

simplify their environments. These strategic

intents are far-reaching and will likely continue

to impact markets in the coming quarters until

the “new normal” becomes more accepted

within the industry.

2. Re-engineer the business

As investment products, platforms, and

requirements evolve, their technological

requirements also change. Financial

institutions must then invest in hardware and

software that are able to keep up with the

speed, volume, and complexity of today’s

investments and institutional standards.

Additionally, as the pressures continue to grow

and greater emphasis is placed on financial

reporting transparency, increased disclosure,

and different risk models – and evaluation

criteria develop – financial institutions

rely more on big data analytics and look

to deploy cloud strategies in ways that are

secure and economical.

Another area being adjusted is process

engineering. Firms are now outsourcing

certain functions such as card and payment

processing, statement production and delivery,

and finance and accounting functions, as

well as customer service. Outsourcing these

processes frees up working capital, and

enables firms to deploy strategic personnel

for critical functions rather than purely tactical

and time- and labor-intensive efforts.

3. Revisit markets and strategy

Markets change constantly, via gradual

evolution and immediate shifts. In financial

services, much of the change relates to

geography and technology, as well as

consumer demographics. Emerging geographic

markets are considered fast-growing areas

for consumer and commercial banks,

considered largely de novo territories with

exponential growth potential. Threats to

traditional markets have come in the form

of emerging capabilities providers, from

Internet-based companies, wireless providers,

telecommunications companies, large retailers,

and other technology upstarts that have

caused “disruptive innovation” in the market.

In addition, demographic shifts, transfers of

wealth, and influential customer markets are

driving change, in measures that are now

1 TowerGroup Live Broadcast, July 20, 2011. Focardi, Craig; Riley, Brian; Moroney, Dennis; and Murphy, Steven. “Business Implications of Dodd-Frank: Real-time Positioning for Bank Card Issuers and Consumer Lenders.”


considered mandatory actions. Because

of these fast-sweeping changes, financial

institutions are making choices as to the

markets they serve and how they serve

them, as well as the customer segments

and how they deliver for them. The

once innovative strategy of “financial

supermarkets” that provided one-stop

shopping – for everything and everyone – has

proven to be too difficult to support, grow, and

nurture. And being “all things to all people”

is not a profitable possibility. Today, banks

are targeting definitive market segments and

investing in very specific markets.

4. Automate compliance

Across the industry, approximately $30 billion

is expected to be spent on compliance needs

this year2. This figure will likely grow annually,

as regulations ensue, economies and markets

become more complex, and risks continue to

grow. Finding products and services that can

be controlled automatically or technologically

will drive security and compliance, and

reduce risk to those who employ automation

intelligently and strategically.

5. Increase the focus on risk management

Since the onset of our most recent economic

downturn four years ago, the industry has

taken a noticeable course correction from an

extremely aggressive customer acquisition

and servicing model to a much more risk-

averse model. This move is, in large part,

a component of a risk mitigation plan to

combat emerging threats, fraud risk, and

2 CEB TowerGroup Live Broadcast, June 22, 2011. Nelsestuen, Rodney, “A Wolf in Sheep’s Clothing? Managing Risk with a Compliance Mentality.”


customer and commercial defaults. The course

correction is expected to continue for several

years and will likely be considered part of a

“new normal” environment.

6. Sharpen relationships, products, and services

With the significant reduction in innovation

and product development budgets, how, what,

and where institutions spend will be calculated

decisions based on numerous aspects, such

as risk, return, and market trends. Customer

platforms, mobility, social media strategies,

and advanced analytics for predictive modeling

and customer incentives will continue to

be areas of influence, as will cross-selling

strategies and efforts to increase the lifetime

value of the customer (revenue per customer).

In the near future, customers might expect

to see improvements to mobile functionality,

remote deposit capture, online coupons

that consider their spending habits and are

automatically loaded to their accounts, and

other convenient customer banking tools

made possible by detailed analytics.

7. Integrate the channels

Financial institutions are projected to spend

$6.2 billion on channel integration3, and

for good reason. Delivering the desired and

consistent experience for customers – whether

they’re online, on a mobile device, at the ATM,

or in the teller line – is critical to rebuilding

customer trust and engagement. Integrating

the channels is a tremendously complex

task that reaches across entire enterprises,

but it’s a critical component of managing

customer relationships.

8. Improve business and customer intelligence

Analytics of any kind are critical to running

any business and making informed decisions

on behalf of the business. New technologies

that analyze big data, as well as unstructured

data, such as voice, video, text, chat, and social

media posts, offer invaluable insight to financial

institutions. This unprecedented level of insight

helps businesses make intelligent decisions

that serve the customer across many situations

and platforms. Further, it simplifies compliance

and eDiscovery standards, streamlines

record management, and offers marketing

value to an institution.

9. Revisit sourcing strategies

By providing considerable domain expertise

at relatively low cost, outsourcers are

increasing their emphasis on vertical

specialization across financial services.

Traditional outsourcing forecasts show

significant growth through 2015, when

it will account for roughly 20 percent of

IT spending and approach $116 billion4.

Potential outsourcing opportunities include

data center services and infrastructure,

help desk activities, standardized hardware

and software configurations, security and

3 CEB TowerGroup Research Note, May 10, 2010, V63:06N. Sturgill, Nicole, “Everybody into the Pool! Including Operations and IT in Retail Bank Multichannel Integration Efforts.”

4 CEB TowerGroup Research Note, July 18, 2011. Nelsestuen, Rodney, “Sourcing, Resourcing, or Outsourcing: Globalizing Operations in Financial Services by 2015.”


compliance functions, payment processing, and asset servicing. In addition,

many financial institutions are embracing shared services, a business model in

which an internally sponsored group becomes a service provider to a variety

of business units. Managed services also continue to gain ground in areas such

as application testing, security, and fraud-detection services – all of which are

available through on-demand or cloud-based services.

In shortFinancial services is now, and likely always

will be, one of the most critical industries in

the world. In both strong and down economic

periods, customers rely on their financial

institutions, and financial institutions rely

on their business partners. In both cases,

those that lead and succeed are financial

institutions and business partners that

read the trends early and react accordingly

in ways that are best for their businesses,

customers, and shareholders.

Over the last few years, the industry has

experienced dramatic changes related

to economics, regulatory measures,

and customer expectations. The trends

spotlighted in this article are just a sampling

of the factors impacting the financial

industry, but clearly, they have the potential

to make a significant impact on the future of

global financial services.

Rodney NelsestuenSenior Research Director

CEB TowerGroup

Ross Feldman Chief Technology Officer, U.S. Financial Services

HP Enterprise Services

> Learn more

http://www.linkedin.com/in/rossfeldman

http://h20195.www2.hp.com/V2/GetPDF.aspx/4AA4-0195ENW.pdf

Top 9 business drivers and strategic responses for 2012

Globalization and economic uncertainty

Growing regulatory mandates

Industry structural change

Nontraditional competition

Stress throughout market segments

Risk: fraud, reputation

Capital and liquidity challenges

Global consumerization and continued distrust

Technological convergence

– CEB TowerGroup and HP

1.

2.

3.

4.

5.

6.

7.

8.

9.

Reduce operational costs

Re-engineer the business

Revisit markets and strategy

Automate compliance

Increase the focus on risk management

Sharpen relationships, products, and services

Integrate the channels

Improve business and customer intelligence

Revisit sourcing strategies

Business driver Strategic response

>>>>>>>>>

Clou

d


Bank on the power of

By Larry Ryan

cloud-based

You know the sea change currently happening

in our industry? Well, it’s not going away

anytime soon. Regulators, customers, and

investors all have changing demands. It’s up

to financial institution IT to deliver for them.

In his groundbreaking book, “The Structure of

Scientific Revolutions,” Thomas Kuhn argued

that, during periodic upheavals in science,

the discovery of anomalies lead to entire

new paradigms that foster new research,

present new questions, and change the very

game of normal science1. Those significant

changes affect technologies, economies, and

institutions. The emergence of mature cloud

computing may indeed represent a game-

changing event for the global banking sector.

Your internal teams need to be ready to

accommodate anything – from potential

regulatory changes to customer demands.

A cloud-based architecture allows financial

institutions to adapt and scale their systems

quicker and at a lower cost.

The future is uncertain, the future of cloud computing isn’t.

Quite simply, the cloud presents an opportunity

to rapidly deliver the right resources through

less effort. While cost reduction is a benefit of

the cloud, its key advantage is its ability to keep

an organization agile and responsive to market

changes within a framework that complies with

a financial institution’s specific governance,

compliance, and risk needs.

1 Kuhn, Thomas S. “The Structure of Scientific Revolutions.” 3rd ed. Chicago, IL: University of Chicago Press, 1996

services


A McKinsey & Company survey found that 75% of business executives believe the cloud would drive value in their organizations, 70% cite increased flexibility as the primary benefit of cloud-based computing2.

One McKinsey & Company presentation

stated, “Cloud will not only deliver improved

economics but also enable new business

models that will present opportunities and

threats to financial institutions3.”

Know the different clouds. Deploy the best of each.

For financial institutions, the beauty of the

cloud space lies in building solutions by

constructing a hybrid cloud after picking and

choosing the most appropriate features from

the public, community, and private clouds.

The hybrid cloud space literally offers financial

institutions the ability to exploit the best of all

worlds. And with the changing regulatory and

consumer landscape, the cloud is an untapped

resource for transforming the security and

accessibility of banking services.

Maximize the cloud with service architecture

Whether it’s infrastructure (IaaS), platform

(PaaS), or software (SaaS), the service model

offers synergy and cost-saving opportunities

that scale easily and deliver the “instant on”

promise that financial institution IT needs.

Technology providers in these arenas will only

become more effective at operating in the

cloud space, too.

Why search for the best solution? Build your own.

HP recommends the hybrid delivery for

financial institutions. Any and all potential

solutions are looked at based on the unique

needs of a specific institution. Traditional

in-house services don’t necessarily need to

be replaced, but instead, augmented with a

scalable, automated cloud-based solution.

Any product within the cloud space can be a

potential part of the product mix. HP’s view

is that the future of IT will focus more on

procuring and brokering outside technology

services, initially in non-core business areas

like email and CRM, but eventually core bank

services will operate this way as well.

No single solution holds all the answers.

Department needs are different and constantly

changing – and employees must have the

latest tools to effectively service the needs

of customers. Banks and financial institutions

should look at cloud services and service-

based architectures because they offer the

most flexibility and responsiveness for their

customers and employees.

2 “McKinsey Quarterly Survey on information and technology strategy, 2010,” McKinsey & Company3 “Perspectives on Cloud for Financial Services sector,” Jurgen Laartz, Managing Partner, McKinsey & Company,

HP Financial Services Summit 2011, February 9, 2011

75%


A global bank wanted to deliver

IT capabilities – including servers,

networks, OS, middleware, applications,

and storage – on-demand through

an appliance-like model. The bank

was concerned about the security and

compliance issues posed by addressing

these needs through an external public

cloud; they wanted internal delivery.

HP responded by designing, building,

delivering, and operating a hybrid

private cloud solution that provided

infrastructure on-demand while meeting

the bank’s security, compliance, and risk

management requirements. To ensure

this solution met the bank’s stringent

governance standards, HP engaged

its chief risk, security, and compliance

executives at the start of the project.

HP worked with the bank to create

a portal for online ordering of

infrastructure services through an

expandable service catalog. The service

catalog included available services,

pricing, and service levels, enabling lines

of businesses to select and build an

infrastructure that matched the bank’s

business needs in compliance with

corporate standards.

Sourced from a combination of HP

and the bank’s data centers, this

cloud-based solution allows the bank

to optimize capital and operational

expenses, while gaining immediate

access to HP’s worldwide data centers.

The solution reduced the risk of

deployment and ensured security and

regulatory compliance. This scalable,

instant-on approach now also allows

the bank to provision new functionality

in hours, rather than days, in a controlled

and manageable environment.

Why it pays to invest in a hybrid cloud

exam

ple

LARRY RYANChief Technologist

Financial Services Industry, HP

> Read the white paper

http://h20195.www2.hp.com/v2/GetPDF.aspx/4AA3-4341EEW.pdf

http://www8.hp.com/us/en/hp-news/press-release.html?id=1233868

The

Mill

enni

als

Accommodating the Millennials

How to develop products and services for the connected generation

Mr. Ryan doesn’t specifically mention

Millennials (consumers born between

1978 and 20001), but they’re one

key demographic that’s changing

how, where, and when banking gets

done. They truly shift consumer

expectations and help shape “a

dramatically different market reality.”

“Tectonic change is reshaping the financial services sector. From the global economic situation to more stringent regulatory controls … and shifting consumer expectations – bankers, insurers, and others now face a dramatically different market reality.”– Larry Ryan, Chief Technologist, Financial Services Industry, HP

By Ross Feldman

>1 http://www.americanprogress.org/issues/2011/09/911_generation.html


Meet the Millennials

In the Millennials, the 55-and-over age group

has discovered its rival for the most influential

financial consumer. The 18- to 29-year-old age

group recently reached the 50 million mark2.

Financial institutions need to understand the

differences in these groups and tailor products,

services, and customer communication

platforms to capture Millennial wealth

as money moves away from traditional

investment products.

Millennials demand choice at every

turn, which means financial institutions

must build products that fit their expectations.

Many banks have limited innovation dollars,

so creating products for this group can be

a challenge. But for financial institutions to

ensure their financial future, they must strive to

find ways to satisfy this influential demographic.

The Millennials are growing up – getting

promoted, starting businesses, inventing

industries, and earning higher incomes. And

agile and in-touch financial institutions are

noticing – and taking action – to modernize

and serve these customers in a variety of ways.

Born into technology, Millennials are diverse

and well educated, with different wants

and needs than previous generations. Due

to the economic peaks and valleys they’ve

experienced in their short lives, they’re hesitant

to assume debt. They want to avoid some

of the economic errors and trends that have

plagued society over the last several years.

Uber-connected and comfortable using social

media to express themselves, the Millennials

more readily embrace many forms of online

communication than their older peers.

When surveyed, 75% of Millennials stated they have a profile on a social networking site, compared to only 50% of Gen Xers and 30% of Boomers who claimed to have a social networking presence3. Incidentally, when asked what makes their generation unique, the number-one answer for Millennials was their “use of technology.4”

2 http://pewresearch.org/pubs/1501/millennials-new-survey-generational-personality-upbeat-open-new-ideas-technology-bound3 Ibid. 4 Ibid.

75%


Bank their way, or watch them go

Firms that deploy technologies to improve

service levels and product offerings with this

group of “digital natives” are better positioned

to benefit from these investments – and gain

long-term customers in the process. And since

most service-based technology also provides

real-time analytics and consumer insights,

these financial institutions have greater depth

of knowledge and instinctual insight to spot

future trends relating to customer behaviors

and interactions.

Additionally, this insight has a corollary result

as it relates to social media interaction. Digital

natives call, text, write, tweet, and post about

their experiences, positive or negative, and the

viral impacts of this are monumental. Astute

companies capture, analyze, and understand

these behaviors, because failing to do so could

result in costly missteps.

Millennials also understand the ramifications

and safeguards that pertain to the security

of their personal information, more so than

previous generations who have had to adapt

to the world of advanced technologies.

Tap the benefits of technology to create

satisfied customersFor a financial institution, flexibility and

accessibility are critical to customer delight

because they enable different ways to reach

the same outcome. For example, Millennials

generally don’t want to interface solely

through self-service methods. They often

want and demand full-service customer

management. They want to tailor their ways of

doing business with you, interacting whenever,

wherever, and however is most convenient for

them. Don’t abandon storefront operations,

just make sure they’re fully optimized to

exceed the expectations of your 20- and

30-something customers.

With competition increasing from emerging

markets and others such as PayPal, Amazon,

and Facebook, financial institutions must

find innovative, customer-driven products

and service offerings. They must develop

new revenue streams without negatively

impacting customers. Mobile banking and

mobile contactless payments, remote deposit

capture devices, reloadable prepaid cards, text

banking, online couponing and discounts, and

modernizing of banking centers are critical to

a financial company’s success. Providers must

have the technology products, services, and

vision to accommodate evolving customer

needs and wants, and anticipate them before

they come to market.


The HP vision is this:

Create products that consumers want, develop smart and

innovative solutions before customers even know they

want them, and get them to market quickly. These steps

are critical to driving greater customer satisfaction.

With Millennials in particular, technology is ingrained in

their daily lives and mindset. Winning this segment over

to become a relevant institution in the new reality requires

insight, analytics, and strategy.

Ross Feldman Chief Technology Officer, U.S. Financial Services

HP Enterprise Services

http://www.linkedin.com/in/rossfeldman

Cust

omer

ser

vice


By Dennis DeGregor

Deliver

Have you ever called a service department with a question and been routed from one department to another? And had to repeat the same information over and over with each new representative? The experience certainly does not make you happy.

The good news is you don’t have to put your customers through that. In fact, you can turn customer service into a competitive advantage by implementing the measures that follow:

delightcustomer


For today’s financial services

providers, great customer

service can be a huge

competitive advantage.

360-degree view of the customer

Get data out of the silos and

make it available to customer

service agents. They’ll only

have to ask for information

once, and they can be

prepared to address a known

problem, such as a customer’s

card being stuck in an ATM.

Address the customer’s issue

Savvy customer questions

often go beyond the level

that can be addressed by a

less knowledgeable customer

service agent who’s relying

on a script. Have the right

level of agent and the right

information available to the

agent to address any question

from any customer.

Mine social media for customer preferences

Listen to what’s being said

online to offer services more

tailored to the customer.

Look for a Business Process Outsourcing partner for your contact center

Find a partner with a global

presence, a comprehensive set

of services, domain expertise,

and industry experience.

Interact with customers on their terms

If your customers prefer to

communicate on social media,

you should, too. Extend social

media as another channel into

your contact center. If your

customer tweets a negative

comment, reply on Twitter so

the problem doesn’t fester.

It can bring you happy, loyal

customers and opportunities

to upsell additional services.

You can help make your

customers happy by

implementing a social

customer relationship

management (CRM) program

to improve communications

and engagement with

customers. To find out how,

read the press release.


Dennis DeGregorGlobal CRM LeaderHP Enterprise Services

http://www.linkedin.com/in/degregor

Prem

ium

ser

vice

s

Gain capital by providing

premium product/card services By Ed Herman

Since the global economic crisis of 2008, survival in the business world requires much more than maintaining the status quo. The financial services industry, in particular, has been under

mounting pressure to find ways to retain current customers while growing the business wherever possible – increasing the volume of customers, total revenues, and profits.


Banks under pressure

Complicating matters are the abundance

of regulatory changes that banks and other

financial institutions must comply with,

many of which limit or prevent fees that can

be charged for certain transactions. And

don’t overlook the needs of the merchant or

consumer, who has more power than ever

thanks to social media and an unprecedented

level of “connectedness.” Merchants have

joined forces to help government regulators

push through legislation that allows them to

recoup some of the fees paid for accepting

credit cards or to reduce the fees assessed by

their acquiring banks. Consumers who feel like

they shouldn’t incur fees for some services –

such as online bill pay or monthly debit card

usage – put pressure on banks to find services

and solutions that provide value and for which

customers are willing to pay.

Financial institutions often rely on the development of premium products and services to differentiate themselves from industry competitors. Modern-day banks and other financial organizations are working to create premium services that will bring in new sources of revenue and engender deeper customer loyalty.

There are two important methods to address

the creation of premium services: 1) identify

underserved or new growth markets, and

2) listen to what current customers and

the broader market are saying. Hearing

the consumer perspective helps product


management and innovators in the financial

industry discover pain points in the marketplace

and then pinpoint key features that could add

value by being relevant to the user.

Mine your data sources

Today, there are a seemingly unlimited

number of data sources that together create

a holistic picture of what products and services

consumers say they want and what the

market will support. At HP, we favor a view

that combines a broad-spectrum survey of the

market with a more intimate understanding

of what our consumers and businesses want.

To get a robust, comprehensive look into the

near future, we exhaust the following channels

and resources:

> Ask clients what we’re doing right and what

else they’d like to see.

> Engage in detailed discussions with clients,

which helps us better understand their

strategies and plans to gauge what financial

institutions believe their customers want

from banks. Anticipate client and market

needs through this critical dialogue.

> Share our detailed product development

roadmap with senior-level business

executives during intimate, strategy-

focused board sessions with individuals

who are closely tied to their companies’

profit and loss metrics.

> Discuss innovation during targeted business

forums among noncompetitive clients

(e.g., at the annual HP Card and Payments

Innovation Forum).

> Engage with analysts to get their

perspectives on what consumers will

expect and where the market is headed.

> Conduct individual market research

to uncover customer preferences

and behaviors.

> Orchestrate brainstorming sessions with

subject matter experts and HP partners in

emerging technologies.

> Monitor social media and crowdsourcing

analytics to spotlight trending topics,

and use that feedback as a direct input

channel into our product development

and investments in cards and payments.

Farm the problems to create better solutionsBy aggregating all of this data, we’ve been

able to improve solutions for problems many

consumers have dealt with for years, such as

the multicurrency prepaid card solution for

http://h10131.www1.hp.com/sites/card-innovation/testimonials/10514/

http://h10131.www1.hp.com/sites/card-innovation/testimonials/10514/


The better solution lies in preloaded multicurrency cards. Consumers load the card with cash

value for multiple currencies such as

dollars, euros, yen, baht, yuan, and

pounds (known as “purses”). The

consumer pays a one-time fee that’s

assessed when the card is initially

loaded rather than every time

it’s used. And while traveling, the

cardholder can go online to transfer

balances from one purse to another

or use an interactive voice response

(IVR) to manage their PIN, perform

a balance inquiry, or activate a new

card. Users are no longer penalized

with additional fees when they find

that new pair of shoes they can’t live

without in London. The web-enabled

multicurrency cards also allow

global travelers. The old way of paying for products and services when

traveling internationally involved incurring a foreign exchange fee every

time you used your credit card. These fees – assessed by both the issuing

banks and the card schemes such as Visa and MasterCard – quickly added

up, leading to a certain level of dissatisfaction among the consumers who

were paying for the use of their own money.

>


consumers to check balances and make purse

transfers from their tablets or smartphones.

Another premium solution that fills a

consumer need is the companion credit

card. Targeting the more affluent market

segments, companion cards offer individuals

a card that shares a line of credit with another

card but drives different behaviors. One

of the companion cards might reward the

user with airline miles or cash back, while

another companion card might deliver more

personalized rewards. The companion card,

for example, could satisfy the affluent

consumer’s preference for personalized,

high-premium rewards such as a “Top Chef”

experience or live customer service via a phone

number earmarked for premium members.

Exploit your connectedness

Ultimately, the best financial products

evolve from a collaborative effort. Products

and services are no longer pushed out to

consumers and merchants by the banks and

financial services organizations. They are

borne of an interactive feedback loop among

consumers, businesses, and the industry.

Consider a situation in which an airline traveler

is delayed, something that has traditionally

been a negative experience for everyone

involved. The old way of mitigating the

situation meant the airline would issue the

traveler a paper voucher, a method that was

both inconvenient and costly. Regardless of

whether the traveler used the entire amount

(e.g., a dinner voucher), the airline was

charged for the gross value of the voucher.

The consumer could use the voucher in a

limited number of venues, and the overall

experience was less than ideal.

A better solution is for the airline to provide

bank-issued prepaid cards, which have

connections to the major card schemes such

as Visa or MasterCard. Prepaid cards can be

configured with expiration dates, which keep

unused funds in the airline’s coffers. Everyone

wins: the airline no longer leaves funds on

the table, the traveler is happy to receive a

convenient prepaid card that can be used at

any merchant that accepts a credit card, and

the “warm and fuzzy feelings” (and revenue)

also transfer to the card issuers themselves.

The airline that aggressively implemented the

concept reports that card recipients are often

so happy with the outcome that they take

pictures of themselves posing with the airline

representatives who distributed the cards.

And when that photo posts to Facebook, the

airline benefits from one more marketing

opportunity that costs little but makes a

priceless impression.


Really, you can’t buy a more effective promotional opportunity.Personalized merchant offers are another

example of a product made possible by access

to customer data. By monitoring consumer

purchasing behavior, banks can enable

merchants to extend personalized offers that

drive traffic back to their stores. The consumer

gets a relevant, value-added offer rather

than one-size-fits-all marketing spam. The

merchant sees increased foot traffic in the

store (and hopefully a resultant rise in sales).

The bank card sees an increase in use and

receives added revenue from usage fees.

The outcomes make everyone happy.

The revenue’s in the details

The ability for consumers and merchants to

make a market statement is unprecedented

with the explosion in use of social media,

blogs, and an online presence. All of these

channels generate massive levels of data,

both the structured data from applications

and unstructured data from social media sites.

HP exploits the power of the details by using

algorithms to convert all of this information

into actionable data. Customer Live Intelligence

(CLI) is one solution created by HP Labs that


monitors the entire social media spectrum

to pull commentary surrounding a given

product or entity and reveal what’s really being

conveyed by the consumer.

In effect, CLI creates social analytics for

actionable insight. When Disney recently used

the program to analyze consumer sentiment

and comments, the company made the

surprising discovery that its customers spend

more time discussing hotel rooms and pools

than Disney-branded activities such as Magic

Kingdom or Epcot. This level of insight will

help Disney focus on what’s most important

to its customers, rather than on what they

think customers care about.

From a world built on infinite small details

and an unprecedented level of connectedness

comes a big result: financial services companies

no longer have to guess what’s important to

their consumers. In effect, modern business

intelligence can now survey five million people

simultaneously, listen to their pain points, and

then design and implement solutions that

address those issues.

To see what HP can do for you, visit

hp.com/go/card-payment.

Ed Herman Senior Director, Global Cards and Payments HP Enterprise Services Business Solutions

http://www.hp.com/go/card-payment

http://www.linkedin.com/pub/ed-herman/6/170/ab9

Ente

rpri

se IT


Why enterprise IT is

pricelessDon’t let the business news these days

discourage you. As the financial landscape

transforms, technology is on your side –

the side of the decision-maker.

Regulation and compliance are now part of the

long-term picture. That’s a fact. Even if details

of current legislation change, the fundamental

push for more accountability from financial

companies will remain.

But in the midst of this shift – and these

changes apply to state financial institutions

and global operations – you have a key ally in

technology. Smart financial leadership sees IT

as an asset and not merely an expense. With

tools for risk tolerance, threat profiles, and

investment tracking, you can stay abreast of

everything and make smarter choices using

real-time input. Looking at the big picture, the

very nature of collecting and interpreting data

evolves exponentially each day.

Enterprise IT delivers the tools to move the

financial world from a reactive to a proactive

way of operating every line of business.

Advances in technology provide the means to

discover answers and insights quickly, in ways

that weren’t possible just a few years ago.

By Paul Martin


Decrease human middleware, streamline processes, and reduce errors

“The routine cutting and pasting, aggregating and shuffling of data to produce the classic ‘Risk Heat Map,’ or any heat map, for that matter, is a squandering of human capital. If you can automate your data aggregation, then your highly paid staff can move on to more intellectually demanding tasks than slicing-and-dicing spreadsheets and coloring PowerPoint presentations.” – Paul Martin, Business Leader (Americas), Security Governance Services, HP Enterprise Services

No one can argue with the fact that automating

data aggregation massively reduces – and

practically removes – the inherent risks of

typographical and cutting-and-pasting errors.

Tools that compile and transform data improve

accuracy and effectiveness. Technology

experts can work with companies to tailor

aggregation solutions that form-fit to their

unique issues, making these aggregation

processes more productive. In the future,

collecting information will be less complicated

and more automated and systemic.


Instantly obsolete data

A key drawback to current reporting is that

information compiled for spreadsheets

and documents is often sterile and one-

dimensional – a snapshot of the past, not

a picture of the present. In companies

with volumes of day-to-day transaction

information, many executives fear their data,

just because it may be obsolete by the time

it’s reported. These leaders need real-time,

dynamic reporting platforms, and these tools

must be device-agnostic and accessible from

anywhere. Automated reporting through a

single “executive portal” also achieves the

seemingly unthinkable – “a single version

of the truth.”

Get the right answers

Historically, data providers were the

gatekeepers of information who often defined

and sometimes dictated what leadership saw

in terms of overall message, style, and content.

The architecture behind newer tools allows

solutions to be constructed based on specific,

strategic input from business leadership –

before the system is created.

The top-down approach puts you – the key decision-maker – in charge. You determine the business outcomes that need to be managed and thus, the reporting you need

to achieve them. You can anticipate future data requirements based on your experience and easily create new tools to interpret data. If a new need arises, the system can get what you need, faster.

For example, a financial services executive

whose business can be subject to both state

and federal regulation needs to effectively

manage business outcomes from a federal

perspective and on a state-by-state basis.

Additionally, the regulatory space is dynamic

for this industry.

An adaptable and flexible reporting solution

is needed to keep up and maintain IP security

while remaining compliant and showing that

risks are being actively managed.

Dashboards and viewing platforms are

evolving as well. They improve your financial

team’s ability to compile and read various types

of data – and if the display of this information

isn’t ideal, it can be reconfigured in no time.

Introducing HP Secure Boardroom

HP has a strategic, intelligent, online portal

that, backed by our services, helps executives

determine their business situation “at-a-

glance” and gain a comprehensive view of

enterprise security. Called the HP Secure

Boardroom, this online portal provides

a logical program-level view of IT


security governance through

a single point of reference;

it delivers information and

insight so that executives

can align security and risk

processes and policies to their

enterprise drivers, legal and

regulatory requirements, risk

tolerances, and threat profiles.

Large financial services organizations operate in highly complex landscapes,

with colossal amounts of data and seemingly never-ending regulatory compliance

requirements. It is essential that leaders quickly receive information that is presented

in a succinct way – not data, but business intelligence – that they can make decisions

with, act upon, and actually use to support the running of their businesses. Without

this line of sight to key information, they risk becoming “too big to succeed.” They

become literally hostages of their own data.

HP Secure Boardroom is the executive management portal that today’s financial companies need.It’s quick, flexible, highly configurable, and adaptable to whatever data challenges financial companies encounter.

HP Secure Boardroom


Features

> Simple and easy-to-use interface

> Secure web access

> Automated data aggregation

> Integration with software such

as ArcSight, Fortify, all Microsoft®

applications, and more

> Real-time security status and

actionable reporting

> Extensible through open APIs

Tools like HP Secure Boardroom give you what you need – answers. And better

answers facilitate more intelligent decision-making.

The financial world is always changing. If your financial organization adopts

proactive processes, it’s better positioned to lead the industry forward.

Paul MartinBusiness Leader (Americas)Security Governance Services HP Enterprise Services

Benefits

> Provides single, graphical C-level

dashboard of enterprise security status

> Aligns compliance, risk, operational

and security information at a corporate

level, presenting it as actionable

business intelligence

> Improves control of security projects,

audits, budgets, and performance

Inno

vati

on in

in

sura

nce

Elevate the experience for insurance customers with

innovative By Michael Brown

The insurance industry is traditionally risk averse, but…

Market trends are driving the need for change. Savvy customers do their research, learn about your company and competitors from peers on social media, and understand what options are available. They have expectations for higher levels of

service, more tailored insurance products, and competitive rates.

Customers are looking for non-traditional distribution channels, and they expect to use the latest technology to access services, including mobile devices and social media.

strategies


Innovation is key

To meet these changing needs in the market,

leaders in the insurance industry innovate in

many areas, including:

> Connecting data that’s already available

to mitigate risk using analytics to

improve profitability

> Focusing on customer intimacy and trust

> Updating business models to provide new

service and support options

> Introducing new, more targeted products

such as customized products for non-

traditional customers

> Increasing efficiency and reducing costs

Leaders are taking advantage of new

technologies and processes, such as analytics

to make better use of available data, the cloud

to enhance customer experience, and model-

driven architectures to speed new products

to market.

Information is power if you know how to use it

In a recent cross-industry phone survey1, 34% of executives said at least half of the information within their organization remains unconnected, undiscovered, and unused.

Insurers have a lot of information about their

customers, but most of it’s in silos with no

connection between annuities, life insurance,

disability, and other lines of business. But when

insurers use analytics, they can anticipate

what their customers may need and sell them

additional services and products in new niches.

Unstructured data provide new opportunities

Data from social media sites, videos, emails,

text messages, and mobile transactions

contain a wealth of information about

customers, and this data is growing

exponentially. To stay competitive, insurers

use analytics to convert this data into

actionable facts and deliver it to appropriate

stakeholders to enable better business

decisions and improved customer service.

To control costs, organizations can make use

of a broader set of data to determine fraud

and revise fraud detection routines, further

improving profitability and quality of business.

A better customer experience

From interactions with other service providers,

customers expect to access services on all

their mobile devices across multiple channels.

The cloud enables you to deliver a secure,

multi-channel experience that gives customers

and employees unconstrained access to the

information they need with a consistent user

experience across devices. This “services

anywhere” approach is becoming a necessity

to maintaining a competitive advantage.

34%1 Coleman Parkes study (commissioned by HP), October 2011


Free up resources

Moving to the cloud helps you align

infrastructure costs to business volumes while

meeting security imperatives. Because you can

take advantage of a structural environment

that’s already in place, it brings the flexibility

to grow or shrink with the cyclical nature of

the insurance business.

Moving to the cloud also enables a different

business model for you to buy applications.

Rather than paying for software licenses up

front and dealing with maintenance contracts

and upgrades, you can move to a software as a

service model to lower total cost of ownership.

This model provides the security you need to

protect sensitive customer information and

meet regulatory requirements.

Innovation for the risk-averse

Insurers are known for being somewhat risk-

averse, but there are many pressures forcing

them to become more agile. A model-based

architecture provides the ability to develop

complex products using predefined business

and calculation models instead of coding

everything from scratch, and then using the

models as an integral part of the deployed

solution. This speeds the development

process so you can introduce new products

to market faster, taking advantage of insights

and opportunities identified through analytics.

Additionally, in a service-based environment

where cloud options are adopted, a model-

based design is an imperative for providing

insurers with the flexibility to adjust operations

requirements, launch products, and customize

service without the need to change source code.

Use new technologies to stay competitive

Incorporating technologies such as analytics,

the cloud, and model-based architectures helps

insurers meet the needs of knowledgeable,

demanding customers in a rapidly changing

market. For more information on how you can

be more competitive, view the slides presented

by HP at the ACORD LOMA Insurance Systems

Forum 2012 conference.

Michael Brown Sales Enablement HP Insurance Services

http://slidesha.re/KgoWw8



http://ca.linkedin.com/in/michaeljbrown

The

new

IT

conv

ersa

tion

How shareholders are

changing the conversation

around ITBy Jim Scurlock

Forward-looking financial institutions no longer

focus solely on must-have technology or cost

(OPEX) reduction methods. While both still

factor into the overarching business equation,

today the dialogue surrounds shareholder value,

as well as how the decisions being

made will impact it.

The dialogue is moving from a conversation

about the latest technological innovations

and ways to save money to a discussion

that poses the question, “What can we do

to favorably impact shareholder value?”

Modern banks are searching for methods to

redeploy capital in a way that will enable the

distribution of dividends.

HP has come up with a solution that does

exactly that. By delivering anything as a

service (AaaS), we help banks eliminate capital

expenditures and reduce operating expenses.

HP’s robust finance division is able to buy back

client assets, which releases value from the

balance sheet and frees up capital for use in

pursuing innovative products and services that

will drive greater ROI for shareholders.

The final step in the revised business dialogue –

and another with profound financial benefits –

lies in adopting a consumption-based model.

Modern financial companies now know that

unused or underused solutions (and the

costs associated with buying and maintaining

them) can lead to unnecessary expense. The

consumption-based model allows financial

firms to pay only for what they actually use.

Jim Scurlock Vice President HP Financial Services

The new conversation around IT comprises four steps:

1. 2. 3. 4.Eliminate capital expenditures.

Reduce operating expenditures.

Release value from the balance sheet.

Adopt a consumption-based model.

Back

to b

asic

s

High-tech financial services get back to the basics

“Industry Edge” recently talked to Ross

Feldman, chief technology officer of U.S.

Financial Services, HP Enterprise Services, to

get his perspectives on the factors shaping

today’s financial services industry.

Industry Edge: For a little background, describe how HP is poised to impact the financial services industry in the years to come.

Feldman: For HP as an institution, it’s a time

of great change. We now have a new leader

with an incredible success record of leadership

[Meg Whitman, former CEO of eBay], who

brings a unique perspective, having come from

an entirely different industry and a company

that she helped grow from its infancy to an

industry icon. Her experiences and leadership

perspective and experience will be invaluable,

in my opinion, along with that of the rest of her

leadership team.


[Whitman] is sending the message that it’s

time to get back to fundamental blocking and

tackling as an organization, to the fiber HP

is made of – innovation, customer service,

and the flawless delivery of products and

solutions – the things that HP is known for.

This same ideology can be applied to the

financial services industry as well, given that

it, too, is in a time of great change. The

bottom line is that both HP and its financial

services clients are working hard to become

indispensable to our customers.

Change is happening faster than ever

before: shifts in engagement models,

customer demands, competitive threats from

nontraditional and traditional competitors,

and in regulatory reform (both nationally and

globally). In the U.S. alone, more regulations

were placed on the books in the last few years

than in the previous 50 years. Those changes

have had a dramatic impact on the way

financial institutions work, how they spend

money, and how they make money – all of

which ultimately translates back to how they

serve their customers.

Evolving legislation forces financial institutions

to look very critically at their operating models

and processes, from what they focus on

strategically, to their infrastructures, to plans

for growth. Fortunately, HP has a range of

global competencies across core banking,

capital markets, insurance, and professional

services. We take pride in forging close

relationships with our clients and aspire to

anticipate needs while they’re still areas of

opportunity and growth, rather than burning

challenges that need to be addressed.

Industry Edge: What are some of the factors impacting the industry?

Feldman: Our clients are currently focused

on rebuilding trust with consumers, looking

for ways to regrow their pipelines and find

new ways to earn revenue. They’re trying to

comply with changing regulatory reforms

and are taking a deeper look at the costs and

complexity of their operations environments.

Essentially, financial institutions are working

hard to uncover smart ideas where everyone

wins – reevaluating how they manage costs,

the complexities of their infrastructures, and

business in general.

They look to HP for industry expertise and

technology solutions, and for big-picture

advice and counsel around the cloud,

enterprise mobility, hybrid delivery, security,

and analytics: capabilities that will help them

drive innovation and greater efficiencies and

improve customer interactions and business

management capabilities that lead

to long-term loyalty.

In a market that expects flawless execution

and evolves rapidly, clients must place

their bets on making the right decisions the

first time around. Look at mobile banking,

for example. Three years ago it was an


“innovation experiment” in the industry; now, it’s

a minimal requirement with new applications

and use cases cropping up almost every day.

Banks that don’t offer their customers mobile

account access won’t be serving many of these

clients very much longer.

Financial services firms place their trust in

uncertain times with experienced partners

with proven track records. HP has been in the

financial services space for more than 35 years.

We hold several hundred intellectual property

patents, many of them in the area of mobility

alone. When companies work with HP,

they know their technology will be built on

strong, secure, protected platforms that are

patented. This is important because patent

infringement suits are a common threat in

today’s business climate.

Industry Edge: How urgent is it for these companies to find a trusted IT partner?

Feldman: It’s critical. Business is driven and

supported by technology, both traditional and

emerging. Additionally, banks must innovate

to stay competitive, and they need the right

trusted partners to bring innovative ideas to

them. HP does that, and has the capability to

do it better than most. We understand core and

strategic issues, and focus on quick and efficient

execution to ensure strategies are in place. By

problem solving for our clients in strategic areas

like compliance, security, and analytics, we

help them execute to succeed in this market.

We’re able to see the business from the client’s

customers’ perspective – understanding their

fears, headaches, and the requirements they

struggle with.

Industry Edge: So what does the typical banking customer look like these days?

Feldman: The market is rapidly evolving, with

the different demographics and their needs

constantly changing. Ten thousand Baby

Boomers retire every day, and as they do, their

financial, real estate, insurance, retirement,

and tax needs change. On the other end of the

spectrum, Generation Y (also known as the

Millennials; consumers born between 1978 and

20001) is going to be the largest population

sector, and their needs are dramatically

different. Financial institutions must modify

their offerings to address these needs.

Generations Y and Z (the Internet generation;

consumers born after 19942) have different

demands and expectations than previous

generations. They have grown up with

technology, so they’re less likely to have

concerns about adoption, usage, and security,

and they rely on technology to transact on-the-

go, from their smartphones, and tablets. They

expect to have consistent user experiences

across any platform, whether it is online,

mobile, ATM, at the point of sale, or at the teller

window. It is critical that their experiences

satisfy their needs, since that experience

shapes their opinion of their financial institution.

1 http://www.americanprogress.org/issues/2011/09/911_generation.html2 http://findarticles.com/p/articles/mi_m3495/is_1_45/ai_59283651/


The average customer today watches where

every penny goes. They don’t like to pay fees,

and most of their transactions are debit-card –

centric, which means knowing their exact

account balance when they make purchases

is critical to them. This knowledge can impact

whether they can pay their bills, pick up the

dry cleaning, go out to dinner, etc. From a

technology perspective, the infrastructure

and applications have to be in place to ensure

consistency, security, and reliability across

multiple institutions to produce consistent

results, experiences and ultimately, high

customer satisfaction.

For another case in point, think about the

traditional insurance model. In the past, the

customer acquisition model for property,

life, and casualty insurance was a face-to-

face customer interaction, or at the minimum,

a phone conversation with an agent, which

was often time-consuming. Today, most of

us expect to jump online, fill out an electronic

form, and get a quote, either immediately

or at the most, within 24 hours. Consumers

expect instant results, which puts the

burden on IT organizations to accommodate

these expectations.

The current economic market is very

challenging to bank customers. They’re

sensitive to paying bank fees, and sometimes

go so far as to close accounts and move their

money to non-traditional locations, at which

point they’re considered “underbanked” or

“unbanked.” Non-traditional methods include

cash hoarding, using PayPal accounts or

low-fee credit and loan products offered by


Walmart, and making purchases with prepaid

cards. They have one bank account for all of

their needs instead of the several accounts

they truly need, and they lack a synergistic

bank relationship. The money-management

habits of this demographic present new

opportunities for banks.

Financial institutions must continue to find

ways to improve the customer experience.

Envision the loan application process. In the

traditional method, the consumer enters a

branch to apply for a loan. He or she sits

behind the desk while an account

representative navigates through a seemingly

endless sea of screens. The customer,

meanwhile, wonders what the rep is looking

at. HP has technology and knowledge that

can turn that model on its ear and help

create a great customer experience, such as

finding ways for customers to use tablets and

smartphones to make the application process

more engaging and less alienating.

Industry Edge: What can financial institutions do to ensure longevity?

Feldman: One of the things they can do is

to not try to be all things to all people. Find

the right strategic partner, a trusted IT expert

with ample experience and the ability to help

clients scale business up or down as needed.

For several decades now, HP has been a critical

component to many companies’ successful

transformation strategies. We understand

banking and its challenges, and we know how

to use technology to transform in ways that

will not only keep up with customer demand

but help institutions become industry leaders.

The fastest way to become a company of

the past is to wait and see what the future

holds. HP is in the business of helping financial

services organizations make proactive,

strategic plans for the future.

HP Enterprise Services Italia announced that UniCredit Business Integrated Solutions

SCpA, an Italy-based global service company, has signed a 15-year agreement with

HP to optimize payroll operations and information technology related to human

resources administration processes across the organization. UniCredit is a major

international financial institution with strong roots in 22 European countries and an

overall international network present in approximately 50 markets, 9,500 branches,

and 160,000 employees as of December 31, 2011.

HP has worked with UniCredit for more than 10 years, delivering services to manage the

company’s technology infrastructure, applications, desktop and printing environments.

HP will assist UniCredit in adopting common tools for human resources activities and

payroll production, providing HP Human Resources and Payroll Services for the firm’s

active and retired workforce located in Italy and Austria. These services will be provided

through a jointly owned, dedicated company called ES Shared Service Center SpA.

Additionally, HP will provide HP Applications Transformation and HP Modernization

Services to lead the bank’s transformation to the SAP solution-based platform. HP will

host UniCredit’s SAP solution-based platform from its data centers, providing UniCredit

with a full scope of infrastructure, security, and network services.

Based on HP best practices and UniCredit technical skills, the new delivery model will

generate benefits for the bank such as economy of scale, reduced administrative costs,

higher transactional quality, and improved workforce and payroll reporting.

UniCredit and HP to optimize payroll production and human resources processes

Regi

onal

new

s

> Read the press release

http://www8.hp.com/us/en/business-services/it-services.html?compURI=1079532





http://www8.hp.com/us/en/hp-news/press-release.html?id=1233868&jumpid=reg_r1002_usen



Why do consumers choose one form of

payment over another? What are the trends

in payment behavior? The answers to those

questions can help drive investment decisions

that will meet the challenges of cost efficiency,

flexibility, simplicity, and immediacy.

HP South Pacific recently commissioned

independent research house Retail Finance

Intelligence (RFi) to analyze features of the

Australian payments market for valuable

insight on where to invest in the increasingly

fragmented payments environment.

One discovery could be called the “wave of

the future”: of the major forms of contactless

payment, consumers most preferred to wave

their cell phone in front of a reader. Though

cash is still number one, with credit cards

coming in second, HP-RFi determined that

54% of consumers who intend to switch

some of their spending away from a payment

method, intend to stop using cash, and that

50% of 18- to 44-year-olds were the most

open to replacing those cash purchases with

cell phone purchases.

Though consumers remain concerned

about both fraud and personal liability

should a payment method be misused,

survey respondents indicated a burgeoning

willingness to try contactless payment options,

from prepaid gift cards, debit and online credit

card purchases made with the click of a tab,

to the wave of a cell phone app (such as Visa’s

payWave) to purchase that cup of cappuccino

in a convenient, contact-free flash.

In the world of consumer payments,

cash is being usurped.

Dee McGrath Vice President, Financial Services Industry Group HP South Pacific

By Dee McGrath

Ente

rpri

se

mob

ility

How to create

applications that keep pace with the consumerization of IT By Darren McGrath

More and more consumers are using mobile technology and social networking in their personal lives – at all hours of the day (and night) – and they expect the same “always-on” experience in their professional lives. Commonly referred to as the “consumerization of IT,” this trend represents the evolving expectations of customers and

employees, who use consumer-oriented technologies and solutions such as smartphones, video, audio, social networking, and micro-blogging.

These individuals expect universal access from

their employers and business partners. As we

enter the second decade of this millennium,

a rapidly changing technology landscape is

creating a hyper-competitive environment

and propelling us into an interconnected world.


HP is helping organizations around the

globe harness the power of mobility – with

tailor-made solutions and services. We offer

workshops that help financial services firms

identify which applications, processes, or ideas

are best suited to become mobile applications

based on business value, mobile readiness,

and ease of implementation. Our mobility

assessment assists with the development

of enterprise-level mobility strategies, plans,

and solutions.

In addition, HP’s mobile application

development services provide custom,

packaged and hosted client, client/server, and

cloud computing-based solutions with support

for all of the leading operating systems.

We can also provide mobile application testing

services that leverage market-leading software

testing tools to automate testing of new

application functionality across a variety of

mobile devices.

To learn more about how HP can help you

tackle your IT challenges, visit our Enterprise

Mobile Applications Service website.

Darren McGrath Global Product Marketing Manager HP Mobile Application Services



ttp://www.linkedin.com/profile/view?id=87247742&locale=en_US&trk=tyah

http://h30507.www3.hp.com/t5/Applications-Services-Blog/bg-p/applications-services

Why HP?

320,000

9/1025

With a rich heritage in the financial services industry that spans more than 35 years, HP has a significant presence in all of the top 200 banks, top 50 brokerages, 130 of the world’s major stock and commodity exchanges, and top 50 insurance carriers.

HP offerings for the financial services industry include: > Cloud > Security > Mobility > Analytics > Core banking

> Payments > Branch channel transformation > Trading operations > Exchange transformation > Insurance services

HP is global; we have more than 320,000 employees in 170 countries.

Nine of the top 10 global financial services firms signed contracts with HP Enterprise Services within the last decade.

HP ranks second in the annual FinTech 25 by “American Banker” and IDC Financial Insights.

Verifiable experience

10 & 68 2.5

5

5

Processes 10 billion credit card transactions and 68 million credit card accounts, originates 1 million loans, and processes more than 60 million insurance contracts annually

As the world’s third-largest third-party bank credit card processor and third-largest merchant acquirer processor, HP:

Services approximately 2.5 million mortgages, secured loans, and unsecured loans

Serves 7 million commercial card accounts, processing 80 million transactions annually

Processes an insurance contract somewhere in the world approximately every five seconds

Answers more than 5 million incoming customer calls each year related to loans we service and originate for leading financial institutions

Handles 2 out of 3 credit card transactions

$1M

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Industry Edge - Financial

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Transcript of Industry Edge - Financial